1.17 -0.01 (-1.02%)
After hours: 5:24PM EDT
|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||1.16 - 1.21|
|52 Week Range||1.08 - 2.20|
|PE Ratio (TTM)||N/A|
|Forward Dividend & Yield||0.12 (10.43%)|
|1y Target Est||N/A|
Previously in this series, we discussed that most of the crude tanker stocks rose in the week ended April 13, 2018. VLCC (very large crude carrier) rates dropped below $10,000, while Suezmax rates dropped below $5,000. In this part of the series, we’ll see how bunker fuel prices fared in week 15.
According to Weber’s weekly report, VLCC demand was slower than expected last week, creating a fresh surplus of availability. The demand in the Middle East market declined 12% week-over-week to 22 fixtures. The VLCC fixtures in the West Africa market remained unchanged at five.
When assessing the crude tanker industry, it’s important to look at the BDTI (Baltic Dirty Tanker Index). In week 15 of 2018, which ended on April 13, the BDTI fell from 643 to 640. In week 14, the index dropped by 18 points. The index shows the direction that crude tanker rates are heading. The index has fallen ~9% since the beginning of the year.
Previously in this series, we discussed that crude tanker stocks had mixed returns in week 14, which ended April 6, 2018. VLCC (very large crude carrier) rates, Suezmax rates, and Aframax rates fell. In this part of the series, we’ll see how bunker fuel prices fared in week 14.
According to the Weber weekly tanker report, in week 14, the demand for VLCCs (very large crude carriers) fell from recent highs due to weak demand in the three key markets of the Middle East, West Africa, and the Americas. The turnaround time at Chinese ports fell, which added to the surplus of vessels. The surplus has put additional negative pressure on tanker rates.
Crude tanker stocks also haven’t had a good run since the beginning of the year. Most of the crude tanker stocks have posted negative YTD (year-to-date) returns. In this series, we’ll discuss the stock performance of the top five crude (DBO) tanker stocks on a YTD basis as of April 5, 2018.
Now that we’ve compared crude tanker companies’ 4Q17 performances, let’s discuss analysts’ recommendations. Of the eight analysts covering Nordic American Tankers (NAT), only one analyst has given it a “buy” recommendation. About 50% of analysts are neutral, while 37% are bearish.